Germany to escape recession, says finance ministerStaff Writer | February 25, 2019
Finance Minister Olaf Scholz said he expected Germany to escape recession, pointing to a subdued but upward trend in its and Europe's economies.
Europe Finance Minister Olaf Scholz
Scholz said he was confident that modest growth lay ahead.
"The global, European and German data all point to a subdued but nonetheless upwards movement," he told public broadcaster Inforadio on Monday.
Last week, morale among German businesses fell for the sixth straight month as they anticipated fallout if the U.S. failed to resolve trade disputes with the China and the European Union.
Scholz said there would be no loosening of the public purse strings in response to the slowdown, as the government needed a fiscal reserve in case of a serious economic crisis.
But there was sufficient spare cash to pay for an increase in the minimum wage and pension reforms that his Social Democrats - national coalition partners of the conservative bloc - have promised their supporters. ■